Gold prices in India continue to fall for the third straight day on July 3 as global risk appetite improved amid strong US jobs data and optimism over Covid 19 vaccine. Furthermore, rupee's strengthening to levels of above 75 against the dollar also weighed on the precious yellow metal.
In the futures market, gold for August delivery on the MCX at 3:17 pm was trading with loss of 0.34% or Rs. 163 at Rs. 47995 per 10gm. On similar lines, silver too traded weak, down 0.38% or Rs. 189 to Rs. 49,015 per kg.
It is worth mentioning here that on July 1, 2020 retail gold price in India taking cues from strength in global rates crossed the psychological price level of Rs. 50000 per 10gm. Internationally, gold prices on the same day touched a near eight-year high of $1,788.96.
International Gold Rates on July 4, 2020
Internationally gold rates largely remained steady on Friday with Spot gold mostly unchanged at $1,775.35 per ounce by 0647 GMT. This is even as the US reported a record jump in payrolls for the month of June. US markets remain shut on Friday ahead of Independence day on July 4.
Outlook For Gold Price
Gold may continue to witness volatile trade as market players assess rising challenges to global economy against signs of economic recovery, Kotak Securities added.
Back home, India's gold imports for June month fell 86% year-on-year to 11 tonnes. And as per a report, even as gold rates continue to trend higher hitting new record high every other day, investors in gold in current turbulent times when their cash situation has taken a severe hit are opting for gold loan and not selling their old gold possessions.